Investigating the Factors Affecting Energy Consumption in the Iranian Agricultural Sector Using Parametric and Nonparametric Methods

Abstract In order to study energy consumption in Iran's agricultural sector, a Genetic algorithm concept was used to calculate significant factors affecting energy consumption between 1974 and 2008. Then, durability or "stability" of variables was assessed through econometric method (Augmented Dickey-Fuller test). In addition, long-term and short-term relationships of energy consumption were estimated using Vector Error Correction Model (VECM). Results of this study reveal that intensity of energy consumption variables in agricultural sector and Gross Domestic Product (GDP) are of great importance and have a considerable impact on energy consumption in agricultural sector of Iran. Therefore, these factors can be beneficial for policies of energy consumption conservation in agriculture sector.